Permissive use of car insurance allows you to let a driver who is not specifically listed on your policy to drive your vehicle. If they are involved in a car accident, they will be covered by your auto insurance policy. Like most other forms of insurance, some exceptions do exist. Keep reading below to learn all the details about permissive use car insurance in Utah.
The Basics of Permissive Use Car Insurance
Have you ever let a friend or family member hop into your car and drive? Have you ever considered what would happen if that person were to get into an accident while driving your car? This is where permissive use insurance comes into play.
Many auto insurance policies automatically include a permissive use provision. This type of coverage will cover drivers in the situation mentioned above as long as they only operate your vehicle on infrequent occasions.
The driver does not have to be a member of your household or live at your address. Your coverage would transfer over to the driver if they are involved in an accident, and the benefits available would be the same as if you were the driver at the time of the accident.
Remember that Utah is a no-fault insurance state. This means that your own personal injury protection (PIP) insurance covers your injuries no matter who is at fault for your accident, and these benefits must be used first after an accident. However, liability insurance can play a large role if someone suffers severe injuries in the accident.
Exceptions to Permissive Use Coverage
Although permissive use coverage is included in most car insurance policies, there are some exceptions. If any of these exceptions apply, then the driver of your vehicle will not be covered.
Some of the most common exceptions to permissive use coverage include:
- The driver is operating a rideshare service.
- The driver is using your vehicle for commercial or business purposes.
- The driver is explicitly excluded from coverage in writing.
- Someone uses your vehicle to commit a crime.
- Someone drives your car without your permission.
- The driver does not have a valid driver’s license.
- The driver intentionally causes damage or harm while operating your vehicle.
Determining whether or not permissive use applies to your situation can be challenging. Understanding the ins and outs of this type of coverage can be complex, and you might need an experienced personal injury lawyer who understands all the details of permissive use coverage to help you.
Permissive Use Coverage versus Adding a New Driver to Your Policy
If permissive use covers other drivers who operate your car, why would you ever need to add a driver to your policy?
First, remember that permissive use only covers drivers who operate your car infrequently. Drivers who regularly operate your vehicle should be added to your policy. As a general rule, a driver should be added to your policy if they drive your car more than 12 times per year.
There are some other differences between permissive use and adding a driver to your policy. Some considerations include:
Premium Amounts
Permissive use is usually included with your coverage, so there is typically no additional charge. However, adding another driver to your policy will likely increase your premium amounts.
Length of Coverage
Permissive use only applies for a limited time. Adding a driver to your policy provides them with long-term coverage for as long as your policy remains active.
Actions Taken
You generally do not need to take any additional action for permissive use to apply. However, adding a driver to your policy requires contacting your insurance agent and taking additional steps to update your coverage.
Contact Our Salt Lake City Car Accident Lawyers at McMinn Personal Injury Lawyers for a Free Consultation
Deciding whether to add another driver to your policy can be a big decision, and the best option for you depends on your specific circumstances. You should always contact your insurance company to verify your current coverage and explore your options for adding coverage for other drivers in your vehicle.
If you need help after a wreck, contact our Salt Lake City car accident lawyers at McMinn Personal Injury Lawyers for a free consultation about your case.
We serve in Austin, TX, and Salt Lake City, UT.
McMinn Personal Injury Lawyers – Austin, TX Office
502 W 14th St, Austin, TX 78701
(512) 474-0222
McMinn Personal Injury Lawyers – Salt Lake City, UT Office
650 S 500 W Suite 290, Salt Lake City, UT 84104
(385) 462-7630
